When are the loans disbursed? 

Loans are disbursed by the Department of Education to the University no earlier than 10 days before the start of classes each semester.

Who is my lender? 

Beginning with the 2010-2011 academic year, the Department of Education is the lender for all federal student loans (Stafford and Plus Loans) as stated in the Health Care and Education Affordability Reconciliation Act of 2010.

What is an origination fee? 

An amount taken off the top of the loan before the loan is disbursed (Loan Amount – Origination Fee = Amount received by school).

Why am I not getting an upfront origination fee rebate as in previous years? 

The Budget Control Act of 2011 eliminated the upfront origination fee rebate. If you had the rebate in previous years, please remember that the rebate must be repaid if you do not make your first 12 consecutive monthly payments on time (within six days of the due date).

Why was my loan split? 

Loans are split evenly between the fall and spring semesters for all students. Depending on the program, it is possible students could have their loans split into three between the summer, fall, and spring semesters.

If I don’t accept the awards this year, can I still get them next year? 

Yes, awards are based on that year’s FAFSA, not on what was accepted last year.

What happens if my loan is denied? 

You must get an endorser with a good credit history to co-sign your loan.

When does interest begin? 

Interest begins after the first disbursement of the loan.

When does repayment begin? 

Students have the choice to select in-school deferment so that their first payment is due six months after dropping below half-time status; otherwise, the first payment is due 60 days after the final disbursement.

How much can I borrow in one year? 

Students are only limited to the formula of Cost of Attendance minus Other Aid Received; otherwise, there is no yearly limit.

What is the aggregate limit for GradPlus Loans? 

GradPlus Loans do not currently have an aggregate limit.

How often does interest accrue? 

Interest accrues daily starting on the day of disbursement (the day the funds are released by the Department of Education). In a typical fall and spring academic year, this means that interest begins on the first half of the loan in late August (for most programs) and on the entire loan in mid-January (for most programs).

How can I calculate the amount of interest that is accruing on my loan? 

To determine what your accruing loan interest is on a daily basis, you divide your interest rate (converted to decimal) by 365.25 (number of days in a calendar year), and this gives you the Interest Rate Factor. Then multiply the Interest Rate Factor by your outstanding principal balance. This is the amount of interest that is accruing daily. For example, the interest rate factor for a 7.21 percent Graduate Plus Loan is 0.000197399.